TSMC shares extend strength after ADR gains

Taipei, April 15 (CAN) Shares of contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC) continued their momentum Wednesday morning after its American depositary receipts gained 2.79 percent overnight.

As of 10:17 a.m., TSMC shares had risen 1.95 percent to NT$2,095.00 (US$66.19) on the Taiwan Stock Exchange after the stock closed at a historical high of NT$2,055.00 on Tuesday.

With the stock accounting for over 40 percent of total market value, its gains contributed about 320 points to the Taiex, the market's benchmark index, which had gained 1.86 percent to 36,970.30.

At one point during the morning rally, TSMC's market capitalization hit a new high of NT$54.45 trillion.

Analysts said the buying resulted from renewed hope among investors that the U.S. and Iran will eventually reach a peace agreement, prompting foreign institutional investors to pick up tech heavyweights.

In addition, many investors expected TSMC to deliver positive leads at an investor conference on Thursday after the chipmaker reported a new quarterly high for sales in the first quarter, analysts said.